Food Processing

Hispanic food company Goya Foods celebrates its 80th anniversary with the unveiling of a 240,000-sq.-ft., sustainable production facility in Secaucus, N.J.

Hispanic-owned food company Goya Foods, Jersey City, N.J, is celebrating its 80th anniversary with the unveiling of a 240,000-sq.-ft., sustainable production facility in Secaucus, N.J. The new plant is part of a $250-million investment that includes the opening of four other facilities in 2014. Equipped to produce and distribute more than 4 million cases of Goya products annually, the plant features new production machinery with state-of-the- art technology, such as a continuous-motion line that produces 600 boxes of Goya's rice mixes per minute − six times faster than Goya's past production capability.
Goya added 6,552 solar panels on the facility's 3.7 acres of rooftop to generate more than 70 percent of the building's energy supply to…

3,000 lbs. of coffee beans must be conveyed daily through the processes at Porto Rico Importing.

"Coffee to go" at Porto Rico Importing Co. means shipping 3,000 lbs. of coffee per day to its four retail stores, mail order customers and wholesale accounts.
Porto Rico has been doing business in New York since 1907. The company roasts, blends, grinds and packages beans in its new Brooklyn roasting facility. Operations include roasting up to 150 lbs. of beans at a time, generating dozens of blends for wholesale and retail purchasers, grinding and degassing some coffee and loading products into 25- and 50-lb. burlap sacks for shipping.
Porto Rico receives green beans in bulk bags that are unloaded from a discharge station and hopper. The beans are manually weighed and transferred in batches up to 150 lbs. by a pneumatic conveyor into a…

New and emerging technologies can take years to find a food manufacturing audience. This year’s IFT Food Expo included several innovative drying and kill-step technologies at various stages of the development cycle.

Heat kills, and that’s fine with food processors who want to ensure the safety of raw and minimally processed foods.
Heat also degrades the quality of products, and that’s a concern when the product in question’s health benefits are compromised by thermal treatment. Vacuum, ultraviolet light and other techniques can limit negative impacts, but processors who want a food safety intervention that doesn’t degrade taste or nutritional value have had to rely on propylene oxide and other chemical pasteurizers, all of which leave behind some residues, however minute.
Strictly speaking, a new intervention from Agri-Neo Inc. (agri-neo.com) is a chemical, although it has been certified organic by Ecocert Group, L’Isle-Jourdain, France.

Whether in finished products or in use-at-home mixes, 'natural' is moving the baked goods category.

A stabilizing economy has cooled the baking and dessert mix category as consumers are no longer baking at home. Instead, they’re opting for more healthy and convenient prepared options at grocery stores and restaurants – which is great news for producers of baked goods.
Nevertheless, Mintel Group sees continued growth in baking and dessert mix sales through 2018. In fact, Mintel reports in its "Baking and Dessert Mixes U.S." research that close to half the people that use baking and dessert mixes do so to save time, while less than half use mixes because they simply taste good.
As for how mixes fit into the healthy eating trend, Mintel says “providing products that keep pace with general consumer health interests and developing…

The course is offered at Brookfield Ametek's headquarters in Middleboro, Mass. and at major cities across the United States.

Brookfield Ametek is offering its Practical Course on Viscosity Measurements.
The course is designed to help viscometer users comprehend the functionality of their instrument, solve the mysteries of fluid behavior and Rheology, and create successful and repeatable viscosity test methods for use in both R&D and QA/QC environments.
The course is offered at Brookfield Ametek's headquarters in Middleboro, MA and at major cities across the United States. Space is limited and customers are encouraged to sign up early. An advanced course, Lab Day/Advanced Viscosity Test Methods is an on demand course covering more advanced viscosity topics utilizing sample testing.
Visit the Brookfield Ametek website today or call 800.628.8139 for course…

Whether packaging lines run fast and furious or take a slow and steady approach to the production race, a certain level of flexibility is required.

Just as machine-based processing lacks the flexibility of manual production but makes up for it in throughput, manual processes provide infinite flexibility but come with a loss in volume. Finding the sweet spot between the extremes is the world most food manufacturers live in.
Management at Dure Foods Ltd. has been engaged in that balancing act for most of its 38 years in business. The Brantford, Ontario-based copacker of dry blends does contract work for some of Canada’s biggest retailers and some of the world’s largest food manufacturers, but a good chunk of Dure’s production schedule is filled with orders from entrepreneurs and mid-sized food companies.
“The mixing of powders is not rocket science,” President Hunter Malcolm…

General Mills says it will close its mixing and dough manufacturing facility in Berwick, U.K. late this year.

General Mills, Minneapolis, said on Jan. 18 that it has completed a review on the closure of its manufacturing facility in Berwick, U.K. Employee representatives and union officials made the decision to close the facility by the autumn of 2016.
The company proposed closing the Berwick facility on October 29, and the decision was made to proceed with the proposal. The company will now begin the necessary phases to close the plant. The closure will impact approximately 265 positions. General Mills said it will provide severance and transition benefits to all affected employees.
Operated by General Mills since 2001, the Berwick facility manufactures baking mixes and refrigerated and frozen dough products.

From steam generation to compressors to motor drives, inefficiencies in plant utilities can drive up costs and sap profitability. Technology that flips the equation can introduce needed change.

In the daily scramble to fill customer orders and make sure food defenses are functioning as intended, it’s easy for plant personnel to neglect facility upkeep and let infrastructure upgrades slide.
Chiller systems are among the biggest energy consumers for many companies, and inefficient performance and breakdowns can quickly magnify costs. Yet almost half (43 percent) of respondents to a survey conducted by Goodway Technologies say they do not use Eddy current testing to troubleshoot corrosion and scaling in tube walls, a maintenance shortcut that adds cost and can result in unscheduled downtime.
Assuming the fundamentals of preventive maintenance are being executed, plant managers and maintenance personnel can access a number of…

Whether packaging lines run fast and furious or take a slow and steady approach to the production race, a certain level of flexibility is required.

Just as machine-based processing lacks the flexibility of manual production but makes up for it in throughput, manual processes provide infinite flexibility but come with a loss in volume. Finding the sweet spot between the extremes is the world most food manufacturers live in.
Management at Dure Foods Ltd. has been engaged in that balancing act for most of its 38 years in business. The Brantford, Ontario-based copacker of dry blends does contract work for some of Canada’s biggest retailers and some of the world’s largest food manufacturers, but a good chunk of Dure’s production schedule is filled with orders from entrepreneurs and mid-sized food companies.
“The mixing of powders is not rocket science,” President Hunter Malcolm…

The FDA finalized a new food safety rule April 5, under the Food Safety Modernization Act (FSMA) that will help to prevent food contamination during transportation.

The Food and Drug Administration, Washington, on April 5 (Tuesday) finalized a new food safety rule under the Food Safety Modernization Act (FSMA) that will help to prevent food contamination during transportation. The rule will require those transporting human and animal food by motor or rail vehicle to follow recognized best practices for sanitary shipments. These include ensuring proper food refrigeration, adequate cleaning of vehicles between loads and proper protection of food protection during transportation.
Manufacturers not already using relevant food-safety protocols in their distribution operations now have a deadline. Larger businesses must comply within one year of the rule's publication. Smaller manufacturers have two years…

Mars is pledging to reduce sodium in its produccts by 20 percent over the next five years and cut added sugar in some products by 2018.

Mars Inc. announced earlier this week its commitment to guide product reformulation, pledging to reduce sodium in its products by an additional 20 percent over the next five years and cut added sugar in a limited number of products by 2018. Its Global Health and Wellbeing Ambition program is expected to cost at least $20 million.
Mars says it will label products that contain high levels of sugar, salt, or fat as "occasional" foods as opposed to "everyday" foods, and will focus on five main areas: improve nutritional content; provide more nutrition information; inspire consumers to cook and eat healthy meals; explore new formats and opportunities to offer products in more places at affordable prices; and offer Mars Food associates…

Buckhorn Inc. will be sponsoring two sessions at this year’s Reusable Packaging Learning Center during the Pack Expo Show in Chicago.

Buckhorn Inc. will be sponsoring two sessions at this year’s Reusable Packaging Learning Center during the Pack Expo Show.The learning center, located in the Reusable Packaging Pavilion, features a lineup of speakers and panelists who will present information on new developments in reusable packaging.
Buckhorn, a provider of reusable plastic packaging and material handling systems, will afford attendees the opportunity to learn how today’s leading companies are currently creating efficiencies within their supply chain through the use of reusable plastic packaging for bulk and liquid handling.

Magnet Applications Inc. announced a breakthrough in 3D printed neodymium iron boron (NdFeB) magnets. According to a release, engineers from Magnet Applications paired with researchers at Oak Ridge National Laboratory to prove permanent magnets produced by additive manufacturing (otherwise known as “3D Printing”) can outperform bonded magnets.
The release goes on to explain that the product was manufactured starting with composite pellets that had 65 volume percent isotropic NdFeB powder and 35 percent polyamide nylon-12 binder in a precise ratio, blended to a consistent texture.
With control over the size and shape of the magnet – as well as the magnetic field – further research will include printing magnets in various strengths…

After 78 years, the country's food safety system gets an overhaul … which will place new and ironclad demands on food and beverage processors.

After about a decade in the making, the Food Safety Modernization Act (FSMA) became whole on May 26, 2016, when FDA released the last of the seven rules that are meant to be this country's biggest overhaul of the U.S. food safety system since that system was created in 1938.
One key deadline already has passed: By Sept. 19, most food companies that are not considered small businesses were to comply with the Hazard Analysis and Risk-based Preventive Controls (HARPC) rule of FSMA. There are more deadlines coming up – we list them in a special report Pest Control’s Critical Role in FSMA. Download your copy of the Special Report
FSMA fundamentally changes the way the FDA enforces food safety – essentially moving the agency from being…

Thorough cleaning and sanitizing of food-handling machines and equipment is a requirement, but the task becomes easier and faster when upfront consideration is given to sanitary design.

With implementation of the Food Safety Modernization Act (FSMA) under way, sanitary design migrated from a nice-to-have to a must-have for the processing and handling equipment inside food & beverage manufacturing facilities.
Cleanability has moved from afterthought to a central consideration in total cost of ownership of equipment, particularly when there is direct contact with food. FSMA extends that consideration to include incoming materials, both food and nonfood, environmental conditions and the physical structure. Cross contact with allergens receives special attention in Hazard Analysis and Risk-Based Preventive Controls for Human Food, the FDA guidance document issued in August.
Building and equipping a plant from the ground…

With an updated Nutrition Facts Panel due for 2018 compliance, now is the time to start planning.

In May 2016, the FDA released its final rules for the updated food & beverage labels. These changes are revisions to the Nutritional Labeling and Education Act (NLEA) of 1990. Most producers will be required to adhere to the new rules within two years (2018), though producers that earn less than $10 million per year in revenue will have until 2019 to meet the changes.
The updates will have a major impact on food & beverage producers and their products. Some of the specific changes include:
Changes in required nutritional information, such as a new added sugars declaration and changes to daily values and vitamins
New record-keeping requirements
Changes to serving sizes
Here are some things to put on your to-do list:
Start the…

Reiser has begun construction on a significant expansion to its Canton, Mass., headquarters to support the continuing growth of its business. The construction will add 46,000 sq. ft. of space, increasing the size of the facility by approximately 70 percent. Construction began earlier this year and is targeted to be completed in 2017.
The expansion will double the size of the Reiser Customer Center. The Reiser Customer Center features customizable processing rooms with space to run individual machines or fully automated lines, and a full test kitchen for preparing, cooking and sampling finished product. The facility allows processors to test and develop new products and processes under the same conditions found in most food plants.

A reader wonders which way is more hygienic for applying conveyor lubricant: brush or nozzle?

Q: Which is a more hygienic method of applying conveyor lubricant: by brush or by nozzle?
A. While I am unaware of any specific guidelines from FDA, USDA or the American Meat Institute regarding the application of conveyor lubricants, application via a controlled spray nozzle is much preferable over brush application. A spray nozzle with a properly sized, pre-orifice filter will ensure that only the lubricant will be deposited on the conveyor. Attention should be given to the proper alignment of the nozzle to ensure the spray hits the center on the conveyor and does not over-spray onto the floor, where it can create a safety hazard.
A brush’s materials of construction are susceptible to picking up, harboring and distributing foreign…

Plenty of penalties are meted out when on-the-job injuries occur, but beyond the penalties, there’s a real upside to a proactive approach that creates a safety culture.

Today’s production environment is a pressure cooker, with many demands unrelated to daily order-filling and throughput requirements. Food & beverage manufacturing in particular is under the gun, with the stringent documentation and verification required for food safety adding to stress levels.
Those pressures provide a partial explanation of the high ratio of recordable injury rates in food manufacturing: 5.3 cases per 100 full-time employees, compared to 4.2 for all manufacturing, according to the Bureau of Labor Statistics. Beverage production is even higher, at 6.5, paced by soft drink manufacturing at 8.1, a rate exceeded only by beet sugar manufacturing and animal slaughter in the industry.
Numerous factors are at play. Cold and…

Thorough cleaning and sanitizing of food-handling machines and equipment is a requirement, but the task becomes easier and faster when upfront consideration is given to sanitary design.

With implementation of the Food Safety Modernization Act (FSMA) under way, sanitary design migrated from a nice-to-have to a must-have for the processing and handling equipment inside food & beverage manufacturing facilities.
Cleanability has moved from afterthought to a central consideration in total cost of ownership of equipment, particularly when there is direct contact with food. FSMA extends that consideration to include incoming materials, both food and nonfood, environmental conditions and the physical structure. Cross contact with allergens receives special attention in Hazard Analysis and Risk-Based Preventive Controls for Human Food, the FDA guidance document issued in August.
Building and equipping a plant from the ground…

Adding ingredients under vacuum and other solutions to mixing and blending challenges.

Air is great stuff for breathing and inflating basketballs, but a genuine nuisance when you are adding dry powder to a liquid. More and more powders are entering the food processing mix, a by-product of delivering more nutrient- and flavor-packed products to the health-minded masses. Beverage formulations in particular are becoming more complex.
"We are able to reduce the air in our mix by going to equipment that brings powder in under the liquid via vacuum," says one processor whose company has profited from a co-packing relationship to produce a major brand of isotonic beverage. The equipment is of recent vintage, he notes, and he wonders why the solution took so long to come to the fore.
Admix's VacuShear provides vacuum conveying and…

Thorough cleaning and sanitizing of food-handling machines and equipment is a requirement, but the task becomes easier and faster when upfront consideration is given to sanitary design.

With implementation of the Food Safety Modernization Act (FSMA) under way, sanitary design migrated from a nice-to-have to a must-have for the processing and handling equipment inside food & beverage manufacturing facilities.
Cleanability has moved from afterthought to a central consideration in total cost of ownership of equipment, particularly when there is direct contact with food. FSMA extends that consideration to include incoming materials, both food and nonfood, environmental conditions and the physical structure. Cross contact with allergens receives special attention in Hazard Analysis and Risk-Based Preventive Controls for Human Food, the FDA guidance document issued in August.
Building and equipping a plant from the ground…

Pulses, sprouted grains and other plant proteins, superfoods and natural sweeteners should be in your toolbox for next year.

Consumers are more aware today of how food contributes to health and wellness. They seek nutrient-dense products with ingredients that address heart health, aging, blood sugar control and cancer protection, or at least that contribute to their…

Clif Bar’s products focus on healthy snacking. Its new bakery focuses on the health and well-being of workers, the community and Mother Nature.

Corporate sustainability programs sometimes are viewed with suspicion, a contrivance and PR posture more than a sincere desire to be green. In the case of Clif Bar & Co. and its first production bakery in Twin Falls, Idaho, organizational bona…

Coca-Cola Co.'s CEO Muhtar Kent will be succeeded by COO James Quincey, effective May 1, 2017.

After several stormy years in the beverage business, Coca-Cola Co. announced the expected news that CEO Muhtar Kent will be succeeded by COO James Quincey, effective May 1, 2017. The word comes amid several senior leadership changes the company announced today (Dec 9). Kent, who turns 65 next year, will remain board chairman.
A 20-year veteran, Quincey will stand for nomination to be elected by the board as a director at its 2017 annual shareowners meeting in April 2017. Experts expected the $178-billion company was grooming Quincey for an eventual CEO position when the company appointed the him president and COO in August 2015.
"This transition comes at a time of important evolution for the Coca-Cola company," Kent said in a statement.

Sustainable Vanilla Initiative formed to improve farmers’ livelihoods and assure a stable supply of vanilla.

Various players in the vanilla supply chain have come together to form the Sustainable Vanilla Initiative (SVI), aiming to improve vanilla bean farmers’ livelihoods and assure the long-term stable supply of high quality natural vanilla.
This voluntary program of food, flavor and fragrance businesses connects with vanilla exporters, producers, sector organizations and public authorities worldwide to address issues of governance, traceability, labor rights and technical assistance to growers.
In recent years, the vanilla bean market has faced challenges of falling quality, price volatility and insufficient product traceability. SVI hopes to bring innovative solutions to these market challenges through a comprehensive strategy addressing…

America's food demographics, like its melting pot, continue to change. Our lifestyles, culture and eating habits are increasingly more multicultural and diverse. We uncover new demographic data on some of the changes in taking place in the U.S. with regard to food.

The same demographic changes that are repainting the American portrait are having a great impact on food and beverage products. The middle class is shrinking, and so is the average household size. New waves of immigrants are bringing new cuisines,…

The snack company plans to expands its facilities in Charlotte, N.C., with a $1.9-million investment, which includes adding more than 130 production and offices jobs.

Snyder's-Lance’s $38-million expansion at its facilities in Charlotte, N.C., which includes adding more than 130 production and offices jobs, was approved Monday, Nov. 28, by the city of Charlotte. Most of the additional jobs will go to the company’s South Boulevard manufacturing facility, which currently has 900 workers. The rest will go to the Ballantyne, N.C., headquarters, according to city council reports. State and other inducements boost the total value of the incentives to $1.9 million according to the Charlotte Business Journal.
Snyder's-Lance saw third-quarter revenue from sales rise 41 percent this year over 2015 figures, reportedly due mainly to the company's acquisition of Diamond Foods. But Snyder’s-Lance also announced…

Moody’s Investors Service has upgraded its outlook for the packaged foods industry from "stable" to "positive," according to its latest analysis.

Moody’s Investors Service has upgraded its outlook for the packaged foods industry from "stable" to "positive," according to its latest analysis.
Though there has been little prospective improvement in top-line growth, the food industry's overall successful efficiency initiatives have brightened, Moody's noted in a Sept. 30 report. While top-line sales growth is still dragging, it says, "more companies are starting to see a bigger pay-off from large-scale cost savings strategies. As such, we now expect core operating income to rise 4.5-5.5 percent from our previous call of 4 percent to 4.5 percent for the next 12 to 18 months, excluding Mondelez International Inc. (Baa1 stable) and Kraft Heinz Foods Co. (Baa3 stable). When including…

Coca-Cola Co.'s CEO Muhtar Kent will be succeeded by COO James Quincey, effective May 1, 2017.

After several stormy years in the beverage business, Coca-Cola Co. announced the expected news that CEO Muhtar Kent will be succeeded by COO James Quincey, effective May 1, 2017. The word comes amid several senior leadership changes the company announced today (Dec 9). Kent, who turns 65 next year, will remain board chairman.
A 20-year veteran, Quincey will stand for nomination to be elected by the board as a director at its 2017 annual shareowners meeting in April 2017. Experts expected the $178-billion company was grooming Quincey for an eventual CEO position when the company appointed the him president and COO in August 2015.
"This transition comes at a time of important evolution for the Coca-Cola company," Kent said in a statement.

Reiser has begun construction on a significant expansion to its Canton, Mass., headquarters to support the continuing growth of its business. The construction will add 46,000 sq. ft. of space, increasing the size of the facility by approximately 70 percent. Construction began earlier this year and is targeted to be completed in 2017.
The expansion will double the size of the Reiser Customer Center. The Reiser Customer Center features customizable processing rooms with space to run individual machines or fully automated lines, and a full test kitchen for preparing, cooking and sampling finished product. The facility allows processors to test and develop new products and processes under the same conditions found in most food plants.

America's food demographics, like its melting pot, continue to change. Our lifestyles, culture and eating habits are increasingly more multicultural and diverse. We uncover new demographic data on some of the changes in taking place in the U.S. with regard to food.

The same demographic changes that are repainting the American portrait are having a great impact on food and beverage products. The middle class is shrinking, and so is the average household size. New waves of immigrants are bringing new cuisines,…

From PHOs to azodicarbonamide, certain ingredients are being singled out by the government and consumers as candidates for replacement.

Today's consumers want food they can trust and ingredients they can understand. They're checking package labels for artificial flavors, colors and preservatives, certain dough conditioners, GMOs, partially hydrogenated oils (PHOs), added sugar and high-fructose corn syrup (HFCS).
Replacing such ingredients can be much trickier than it sounds. While formulators are facing pressure to swap-out ingredients that consumers are avoiding, ingredient suppliers are managing to come up with label-friendly, even natural ingredients that are making the substitutions easier.
But it's not always easy. "When three or four highly effective ingredients are replaced with various alternatives, there's somewhat of a compounding effect," says Troy Boutte,…

Pulses, sprouted grains and other plant proteins, superfoods and natural sweeteners should be in your toolbox for next year.

Consumers are more aware today of how food contributes to health and wellness. They seek nutrient-dense products with ingredients that address heart health, aging, blood sugar control and cancer protection, or at least that contribute to their…

The FDA has extended the comment period on the guidelines to reduce sodium in processed foods and restaurant meals.

The FDA's final guidance on recommendations to reduce sodium in processed foods and restaurant meals has been postponed. The agency announced on Aug. 18 that it has extended the comment period on the guidelines to give the food industry and public more time to respond. The public will now have until Oct. 17 to comment on the short-term sodium reduction plan that intends to lower the average sodium consumption to 3,000mg per day.
The comment period deadline to file for the long-term (10-year) sodium reduction targets of 2,300mg per day will end on December 2, 2016. The delay comes at the request of various food industry trade associations.
A reports from The Hill indicates that public health officials blame high levels of sodium consumption…

Sustainable Vanilla Initiative formed to improve farmers’ livelihoods and assure a stable supply of vanilla.

Various players in the vanilla supply chain have come together to form the Sustainable Vanilla Initiative (SVI), aiming to improve vanilla bean farmers’ livelihoods and assure the long-term stable supply of high quality natural vanilla.
This voluntary program of food, flavor and fragrance businesses connects with vanilla exporters, producers, sector organizations and public authorities worldwide to address issues of governance, traceability, labor rights and technical assistance to growers.
In recent years, the vanilla bean market has faced challenges of falling quality, price volatility and insufficient product traceability. SVI hopes to bring innovative solutions to these market challenges through a comprehensive strategy addressing…

To advance global food safety, scientists from IBM Research and Mars Inc. are tracking food’s microbiome to improve safety and productivity.

Hoping to drive advances in global food safety, scientists from IBM Research and Mars Inc., McLean, Va., are reportedly tracking food’s microbiome to improve food safety and productivity. The data scientists from IBM are said to be developing a robust way to prevent food contamination bacteria that can kill thousands of Americans every year. The ambitious goal is to track food across the global supply chain by sequencing the DNA of the microorganisms that live on it.
Food has thousands of these tiny hitchhikers, the vast majority harmless, making up what’s known as a “microbiome.” Protecting the global food supply is a monumental public health challenge, says a news release from Mars. In the U.S. alone, one in six people are…

From PHOs to azodicarbonamide, certain ingredients are being singled out by the government and consumers as candidates for replacement.

Today's consumers want food they can trust and ingredients they can understand. They're checking package labels for artificial flavors, colors and preservatives, certain dough conditioners, GMOs, partially hydrogenated oils (PHOs), added sugar and high-fructose corn syrup (HFCS).
Replacing such ingredients can be much trickier than it sounds. While formulators are facing pressure to swap-out ingredients that consumers are avoiding, ingredient suppliers are managing to come up with label-friendly, even natural ingredients that are making the substitutions easier.
But it's not always easy. "When three or four highly effective ingredients are replaced with various alternatives, there's somewhat of a compounding effect," says Troy Boutte,…

The free-from bakery expands with the opening of a 200,000-sq.- ft. allergen-friendly production facility in Jeffersonville, Ind.

Enjoy Life Foods officially opened its new allergy-friendly bakery on Sept. 8. Located in Jeffersonville, Ind., a few miles north of Louisville, the plant is home to what Enjoy Life says is North America’s largest dedicated allergy-friendly bakery. The facility will produce hundreds of millions of products a year for people around the world with food allergies.
The Jeffersonville site boasts 200,000 sq. ft. of production capacity and will continue the company's commitment to producing and packaging all of the brand’s baked free-from products, including cookies, snack bars, chocolate bars, baking chocolate, baking mixes, and savory snacks. The products are currently available in the U.S. as well as global markets in Canada, South…

Whether it’s new-to-the-world products or systems to reduce waste and improve purity, product innovation and process advancements are alive and well in North America’s dairy sector.
A case in point is Gay Lea Foods, Ontario’s largest dairy cooperative, where R&D scientists are taking a deep breath after intensive development work last year that culminated in the introduction of three distinct products: dehydrated cheese, curdless cottage cheese and coconut whipped cream.
Nothing But Cheese, marketed under the dairy’s Ivanhoe label, strikes clean label and healthy snacking notes, though a shelf-stable cheese with almost all water removed is a concept that most consumers have difficulty wrapping their heads around. In-store…

From PHOs to azodicarbonamide, certain ingredients are being singled out by the government and consumers as candidates for replacement.

Today's consumers want food they can trust and ingredients they can understand. They're checking package labels for artificial flavors, colors and preservatives, certain dough conditioners, GMOs, partially hydrogenated oils (PHOs), added sugar and high-fructose corn syrup (HFCS).
Replacing such ingredients can be much trickier than it sounds. While formulators are facing pressure to swap-out ingredients that consumers are avoiding, ingredient suppliers are managing to come up with label-friendly, even natural ingredients that are making the substitutions easier.
But it's not always easy. "When three or four highly effective ingredients are replaced with various alternatives, there's somewhat of a compounding effect," says Troy Boutte,…

Quaker Oats Co. is collaborating with Chef'd online meal-kit service provider on three Quaker oats meals in the first breakfast options available from Chef’d.

Quaker Oats Co., Chicago, is helping online meal delivery service Chef'd launch pre-measured breakfast kits for its online meal marketplace with an exclusive Quaker Old Fashioned Oats meal. The kits combine oats, dairy and fruit and are eaten from branded mason jars.
On Dec. 6, three Quaker Overnight Oats meals will be among the first breakfast options available from the Chef’d online meal-kit service. Chef’d is one of the only major meal delivery services to offer breakfast, and Quaker is so far the only food brand with a breakfast meal available. Through the partnership, Quaker aims to tap into the booming meal-kit delivery market well liked by millennials.
"With more people than ever using meal kit delivery services, our…

B&G Foods Inc., Parsippany, N.J., completed its acquisition of ACH Food Companies Inc.’s spices and seasonings business for $365 million in cash. The deal, announced Nov. 21, is subject to an adjustment based upon inventory at closing. B&G and its subsidiaries manufacture, sell and distribute shelf-stable and frozen foods across the U.S., Canada and Puerto Rico. ACH supplies spices and seasonings to retail and foodservice customers.
B&G projects that after the purchase is fully integrated, the ACH business will generate on an annualized basis net sales from $220 to $225 million, with adjusted earnings before interest, taxes and amortization (EBITDA) in the range of $38.0 million to $40.0 million, and adjusted diluted earnings…

Campbell Soup Co. appoints Ed Carolan president of its Campbell Fresh Division, which includes Bolthouse Farms beverages, salad dressings and carrots, Garden Fresh Gourmet salsa, hummus and dips and fresh soup. The division accounts for approximately $1 billion in net sales.
Carolan will succeed Jeff Dunn, who is leaving Campbell to become CEO of Juicero, Inc., the San Francisco-based startup that recently launched the first connected countertop cold-press juicer. Campbell has invested $13.5 million in Juicero, which is focused on inventing products, services and experiences that help people consume more fresh fruits and vegetables.
The company said Dunn will remain involved in Acre Venture Partners, the independent venture capital…

National Organic Standards Board recommends USDA remove (in 2018) the texturizer from the list of ingredients allowed in organic foods.

The National Organic Standards Board on Nov. 17 voted 10-3 to recommend to USDA the removal of carrageenan from the list of ingredients allowed in organic foods. If agreed to by the Dept. of Agriculture, the texturizer must be removed by the end of 2018.
Carrageenan, a substance extracted from some seaweeds, is a stabilizing or thickening agent added to many processed foods, particularly dairy products and other viscous items. Its intrinsically "organic" nature was not so much in question as its safety: Some studies have raised health concerns, especially regarding intestinal inflammation and inflammatory bowel disease.
The Grocery Manufacturers Assn.'s chief science officer, Leon Bruner, shot back: “Carrageenan should remain on the…

Fans participating in Mars' M&M flavor competition chose Coffee Nut as the next new flavor for the candy in honor of its 75th anniversary.

Fans who participated in Mars' recent M&M's Flavor Vote picked Coffee Nut as the next new M&M's candy flavor. Honoring the brand's 75th anniversary, the brand asked fans to choose its newest peanut-flavor addition to join Original Peanut on shelves. The Coffee Nut flavor will be available nationwide in August.
The campaign also invited voters to enter their names for an opportunity to win $100,000 and be named the official M&M's Taste Tester.
With more than one million votes cast, M&M’s Coffee Nut flavor defeated two other peanut-flavored challengers: Honey Nut and Chili Nut, said Tanya Berman, director of the brand. "Flavor Vote was the perfect campaign to show how much we value our fans' opinion."

With $150 million funding, Tyson New Ventures will look for start-ups tackling food insecurity, other issues.

Tyson Foods Inc. today (Dec. 5) launched a venture capital fund focused on investing in companies developing breakthrough technologies, business models and products to sustainably feed a growing world population – which includes non-meat proteins.
Tyson will make available $150 million to the fund, which has been named Tyson New Ventures LLC and will be headquartered in Chicago, home of Tyson's 2014 acquisition Hillshire Brands. The fund will "complement the company’s continuing investment in innovation in its core fresh meats, poultry and prepared foods businesses."
A company statement said the fund will concentrate on three areas: commercializing delicious, safe and affordable alternative proteins; tackling food insecurity and food…

2012 Capital Spending Report: Greek Yogurt Plants are Stacking Up

After two years of 20 percent increases, capital spending looks to be up only 4.1 percent this year.

After two years of dramatic growth, capital spending in the food and beverage industry appears to be leveling toward normal. Thirty-six of the top companies in the food business plan to spend nearly $18.3 billion on plant improvements in 2012, just 4.1 percent more than the checks they wrote in 2011.

We say just a 4.1 percent increase because of the dramatic jumps reported in the two previous years. Spending projections for 2011 and 2010 were 20 percent and 19.5 percent higher respectively than the years that preceded each. But while the companies on our list budgeted an additional 20 percent last year, we now realize they only spent 16 percent more, shaving $600 million, probably because of the year's uncertainty. (Numbers in the table at right won't show so dramatic a drop because three companies were added to this year's list.)

Of course another way to look at it is the 2012 industry budget is more than 30 percent higher than the $13.5 billion spending of 2008, when the economy faltered and the brakes were applied. Maybe now the pendulum has swung both ways.

Consider this year's capital expenditures budget as a whole as being in maintenance mode. That said, some companies are cutting loose the funding for big projects.

"There is definitely an ongoing trend, driven by consumer confidence, toward more spending in food manufacturing," says Brian Kappele, vice president of the food and beverage division at Stellar (www.stellar.net), a Jacksonville, Fla., architecture/engineering/construction (AEC) firm. "In the past year or so we see projects that are starting to be funded. These are projects that have been in the planning stages and are getting cut loose."

Click on the image above to see an enlarged list of the Capital Spending projects for 2012

Some of the key motivators of plant construction include consolidation of older and less-efficient plants, modernization to meet new regulations and growth opportunities, particularly in emerging international markets.

"Expansion and renovation are still the two drivers — not a bunch of greenfield construction," says Forest McNabb, senior vice president at Big-D Construction (www.big-d.com), Salt Lake City, Utah. "Companies are trying to get all they can out of the quarter-horses they have."

There is a small number of giant projects, at least one or two new HQs and plenty of expansion and renovation taking place.

Among the companies that are spending less, some, like Hershey (down 11 percent), are coming off the completion of major projects. Others, including Dean Foods (down 19 percent), are tightening their belts on expansions as a way to improve bottom line performance -- although Dean will spend $45 million on a retrofit of a Dallas plant for the bottling of products in the White Wave-Alpro division.

With a 50 percent increase in its CapEx budget, J.M. Smucker might simply have moved some of work from one fiscal year to the next (by the way, it's fiscal 2012 ends around April 30). The company spent considerably less money in FY2011 than it had budgeted for -- $180 million compared to $235 million – but is allocating $270 million for the current fiscal year. The maker of fruit preserves, jams and toppings is in the midst of renovating its headquarters and expanding its flagship plant in Orrville, Ohio.

Click on the image above to see an enlarged list of the top projects for 2012.

Smucker's efforts speak to the ongoing consolidation trend. Its new facility will replace or reduce capacity at as many as six other facilities in an effort toward greater efficiencies.

Great big projectsFive of the projects appearing on the Top Projects graphic are greenfield plants, and one of them, revealed just over a month ago, is the result of a new business venture driven by the most recent consumer trend in food.

PepsiCo and German dairy company Theo Mueller Group have formed a partnership that will make and sell Greek-style yogurt in the U.S. A new yogurt factory in Batavia, N.Y. is expected to come on line next year. It will cost $206 million and will employ 186. The joint venture, dubbed Project Wave, apparently is getting some $11 million in tax abatements. Greek yogurt has been growing at triple digits for the past three years. One media outlet said Greek yogurt now accounts for more than $1 billion in U.S. sales, about a quarter of total yogurt sales. (See our report on the partnership at PepsiCo Partners With Muller Group for a Yogurt Plant)

Batavia, N.Y., appears to be the epicenter for Greek yogurt. Agro-Farma Inc., headquartered in Batavia, just changed its name to Chobani Inc. to coincide with its category-leading brand. While it's sitting pat in Batavia, the company is expanding its facility in nearby New Berlin, N.Y., which is dedicated to Greek yogurt. Plus it plans a new plant in Twin Falls, Idaho, that will be 900,000 sq. ft., will cost $250 million and should open later this year. Company officials hinted the Twin Falls plant is not entirely dedicated to Greek yogurt: "It will house additional product lines and innovations," a spokesperson said.

Dannon Co., a U.S. subsidiary of France's Group Danone, operates three production facilities in the U.S. It is currently at work on a 400,000-sq.-ft. expansion of its Minster, Ohio, plant at a cost of around $88 million.

General Mills announced last July it will spend $36 million for a new distribution center in Fort Wayne, Ind. The new DC will measure 1.5 million sq. ft.

Speaking of consolidation, JR Simplot announced in November it will build a new potato processing plant in Caldwell, Idaho, with site preparation anticipated to begin next month and start-up expected by spring of 2014. The new plant will replace the company's existing potato processing plant in Caldwell, with additional closures of facilities in Aberdeen and Nampa, Idaho, in the next two to three years. Those will result in the loss of just under 800 jobs.

The 380,000-sq.-ft. plant, which will be built on the site of the company's original processing plant in Caldwell, will help Simplot remain competitive while providing significant environmental benefits, says president and CEO Bill Whitacre.

"Competition in the food industry has become challenging, with profit margins shrinking and costs continuing to rise," he said. "These factors and other considerations have made it important to the future well-being of our food business that we build this new plant."

Simplot won't give the cost of the new facility, but Whitacre said it will be the largest single investment the company has made in Idaho. The new plant will employ about 250 people.

Although it is not giving cost or square footage figures, Tyson announced in March it will expand its Dakota City, Neb., plant as part of a consolidation effort. Sara Lee completed a 200,000-sq.-ft. Kansas City facility in December that is now producing Hillshire Farm and Sara Lee Deli sliced meats.

Just last month, Abbott Nutrition, Abbott Park, Ill., announced it would build a new $270 million plant in Tipp City, Ohio. The facility will produce Ensure and Glucema brands of adult nutritional supplement beverages. It will employ 240.

Mars Chocolate North America announced in June it will seek gold level LEED certification for a new $250 million plant it will build south of Topeka, Kan. The plant is slated to open next year, producing M&Ms and Snickers bars. The local economic development agencies helped Mars select a 91 acre site on which it plans to build a 350,000-sq.-ft. first phase.

Mike Wittman, vice president of supply at Mars Chocolate North America, said the Topeka plant would be the company's first new manufacturing facility built in the U.S. in more than 35 years. Interestingly, Mars hoped to build a 300-ft.-tall wind turbine for the plant, but the Federal Aviation Administration disallowed it because of a nearby airfield, according to TV station KAKE. Mars reportedly is seeking permission to build a solar field at the plant.

There is a big project underway in Canada, too. Toronto-based Maple Leaf Foods recently announced plans to build a $395 million processed meat plant near Hamilton, Ontario. Plans call for a 402,000 sq. ft., plant that will employ 670.

“There is definitely an ongoing trend, driven by consumer confidence, toward more spending in food manufacturing.”

– Brian Kappele, Stellar AEC Firm

"The final phase of this plan will establish Maple Leaf Foods as a more streamlined and profitable company, well positioned to deliver significant and sustainable value to its shareholders," said Michael McCain, president and CEO. "We are creating, through one of the largest single investments in the Canadian food industry, a highly efficient, world-class prepared meats production and distribution network that will markedly increase our competitiveness and close the cost gap with our U.S. peers."

The plant will produce deli meats, processed meat and wieners. No slaughtering or rendering will be performed at the plant, so the facility is expected to produce minimal odors. The new location will "make the majority, not 100 percent, but the majority of wieners for the entire country," said McCain.

Plans for the new project were announced in October as part of a $560 million infrastructure and technology upgrade. That news came just a month after the company launched what it calls Canada's largest bakery, also in Hamilton. The 385,000-sq.-ft. "Trillium" bakery benefits from efficient design flow and best-in-class technologies, the company says.

Kellogg has begun an expansion of a plant in Belleville, Ontario, spending $43 million to add a Mini Wheats line.

Back in the states, Minneapolis-based Malt-O-Meal Co. (recently renamed MOM Brands) expects to wrap up a $136 million expansion of its Asheboro, N.C., production facility this year. Plans include the addition of more than 200,000 sq. ft. of production space, two additional lines and the construction of an 80,000-sq.-ft. warehouse.

In September, Campbell broke ground on a 34,000-sq.-ft. innovation center to be located at Pepperidge Farm's headquarters in Norwalk, Conn. The $30 million investment reflects the company's efforts to accelerate innovation across its Baking and Snacking portfolio, the company's second-largest reporting segment, which includes both its Pepperidge Farm unit and its Arnott's biscuits unit in Australia and Asia Pacific.

On the smaller end of the scale, Pierre's Ice Cream of Cleveland celebrated the start-up of its new plant last summer, while a southern Ohio neighbor opened its new plant in the fall. Pierre's new 35,000-sq.-ft. production facility began filling carton's with French-style ice cream last June. Sustainability features include high-performance insulation, hot and cold recapture and windows and skylights to provide natural light.

Graeter's Ice Cream in Cincinnati opened a 24,000-sq.-ft. plant last September to expand its fairly local distribution. The company says it will continue to make flavors like its famous Black Raspberry Chip with a French pot system that produces just 2.5 gallons per batch.

Consumption of craft beer in the U.S. keeps growing (dollar sales were up 15 percent for the first half of 2011 according to the Brewers Assn.). While the brewing giants InBev and Miller-Coors continue to acquire and partner with craft breweries, some of the top independents are also scaling up and going bi-coastal.

Craft beer pioneer Sierra Nevada Brewing Co., Chico, Calif., is ready to break ground on a new brewery in Mills River, N.C. The project will cost close to $100 million, and produce 95 full-time jobs. Meanwhile, at last report, New Belgium Beer Co., Fort Collins, Colo., was looking at either the Philadelphia area or western North Carolina to site a new canning facility.